I hold Sally Malay, this is not my opinion ... but research your...

I hold Sally Malay, this is not my opinion ... but research your for reading ...


"China is keen to bring rising copper prices under control, and may take strategic market positions during the end-year lull to help control prices for the metal, Numis Securities said.

'Thin trading on the LME over Christmas could make the market vulnerable to manipulation from key consumers, like the Chinese, who could make a concerted effort to reduce prices in this environment. The danger is that the bulls could decimate anyone who dares to short the market and this threat could keep speculators away,' Numis said in a research note.

Copper rose back over 7,000 usd per ton to 712 on the London Metal Exchange as the US currency continues to slide, the note said.

Late last year, a trader with China's State Reserve Bureau (CRB) took major short positions on London copper, resulting in extensive losses for the bureau.

'While copper prices should fall against rising inventory levels, a falling US dollar serving to maintain price levels. We are beginning to feel that metals prices could remain strong until the year-end rather than weakening through the Christmas period, and in this environment, prices could simply probably drift before gaining new momentum in the new year,' the note added.

Numis also said prices for nickel are hitting new record levels, reaching 33,350 usd per ton this morning in London as record production and demand for stainless steel holds inventory levels down.

'Expectations for further production and demand growth in stainless steel in China indicate that (nickel) prices could rise further, helped along by a weaker US dollar,' the note said.
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